Daily Market Review & Financial Analysis

Stocks Soar as Trump Drops Mexican Tariffs

June 11, 2019

U.S. Stock Market

Review:

U.S. stocks traded higher after the United States dropped plans to impose tariffs on Mexican goods after striking a wide-ranging deal on immigration. The Dow Jones rose by 0.30%, the S&P 500 increased 0.47%, and the NASDAQ added 1.05% to its value. Technically, according to the daily chart, the S&P is trading below the resistance at 2,950 and is now widely expected to drop back to around 2,750. However, breaching above the line could take the index up towards 3,050.

Tilray (TLRY)

Last : 43.14

Review:

Tilray stock rose 11.19%, closing at $43.14, after the Canadian cannabis company signed a non-binding letter of intent with its largest stockholder Privateer to release 75 million shares over the next two years. On the 1-hour chart, the price has successfully crossed the bearish trend line. This should push it up towards $50.00 but falling back below the line may start a negative trend to around $40.00.

Resistance 45.00 48.00 50.00
Support 42.50 41.00 40.00

U.S. Dollar (USD)

Review:

The U.S. dollar traded slightly higher against its rivals on Monday amid indications that global trade tensions are easing. Gains were held in check, however, by expectations of lower U.S. interest rates. The JOLTS Job Openings number came out lower than expected at 7.45M vs 7.50M forecast. Today, the Core PPI is expected at 0.2% vs 0.1% previously.

Gold

Last : 1,328

Review:

Gold fell, closing at $1,328, after President Trump’s deal with Mexico on trade and immigration. According to the 8-hour chart, the metal is trading above the support at $1,322. As long as it holds there, a rise towards $1,350 is on the cards. Conversely, dipping below the line may send the price down to around $1,310.

Resistance 13,315 1,345 1,350
Support 1,322 1,315 1,310

Crude Oil

Last : 53.36

Review:

Crude Oil fell, closing at $53.36, due to a lack of commitment by Russia on how much production it will cut in the second half of the year. On the 1-hour chart, Oil is holding above the bullish trend line. This could push it higher towards $54.50, while dropping below the line may start a strong reversal in the direction of $52.50.

Resistance 53.70 54.10 54.50
Support 53.00 52.80 52.50

Euro (EUR)

Last : 1.1312

Review:

The euro traded lower versus the dollar, closing at 1.1311. On the 1-hour chart, the EUR/USD is trading in an ascending channel and is now expected to rise towards the upper band around 1.1450. Failure to do so, on the other hand, may lead to a drop back to the lower band around 1.1200.

Resistance 1.1350 1.1400 1.1450
Support 1.1270 1.1230 1.1200

British Pound (GBP)

Last : 1.2685

Review:

The pound traded lower versus the dollar, closing at 1.2685. On the 1-hour chart, the GBP/USD is trading above the support at 1.2655, which may lead to a rise towards 1.2750. However, breaking below the line might start a small retracement to around 1.2550.

Resistance 1.2710 1.2730 1.2750
Support 1.2655 1.2600 1.2550

Disclaimer: The charts are provided by Trading Central, which is a respected third party research provider. The information provided should not be considered as trading advice. UFX provides Trading Central chart analysis to support clients in their trades, which should be independently evaluated. Past performance is not a reliable indicator of future results. UFX cannot be held liable for any information provided by Trading Central. UFX makes no representation and assumes no liability as to the accuracy or completeness of the information provided nor any loss arising from any investment based on this material, forecast or other information supplied by an employee of UFX, a third party or otherwise.